Exhibit 99.3
SUPPLEMENTAL FINANCIAL INFORMATION
CONOCOPHILLIPS
================================================================================
SUMMARY OF NET INCOME (LOSS) BY SEGMENT
Millions of Dollars
-------------------------------------------------------------------------------------------
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Income (Loss) from Continuing Operations
U.S. E&P 892 966 1,107 1,325 4,290 1,181 1,300 995 3,476
International E&P 895 963 1,181 1,105 4,144 1,372 2,004 909 4,285
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P 1,787 1,929 2,288 2,430 8,434 2,553 3,304 1,904 7,761
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream 385 68 88 147 688 110 108 169 387
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M 570 936 1,096 805 3,407 297 1,433 1,444 3,174
International R&M 130 174 294 251 849 93 275 20 388
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M 700 1,110 1,390 1,056 4,256 390 1,708 1,464 3,562
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment 110 148 267 189 714 249 387 487 1,123
Chemicals 133 63 13 114 323 149 103 142 394
Emerging Businesses (8) (8) - (4) (20) 8 (12) 11 7
Corporate and Other (184) (179) (242) (150) (755) (168) (412) (301) (881)
- ------------------------------------------------------------------------------------- --------------------------------------------
Consolidated 2,923 3,131 3,804 3,782 13,640 3,291 5,186 3,876 12,353
===================================================================================== ============================================
Cumulative Effect of Accounting Changes
U.S. E&P - - - (2) (2) - - - -
International E&P - - - (2) (2) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P - - - (4) (4) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream - - - - - - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M - - - (78) (78) - - - -
International R&M - - - (5) (5) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M - - - (83) (83) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment - - - - - - - - -
Chemicals - - - - - - - - -
Emerging Businesses - - - (1) (1) - - - -
Corporate and Other - - - - - - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Consolidated - - - (88) (88) - - - -
===================================================================================== ============================================
Income (Loss) from Discontinued Operations
Corporate and Other (11) 7 (4) (15) (23) - - - -
===================================================================================== ============================================
Net Income (Loss)
U.S. E&P 892 966 1,107 1,323 4,288 1,181 1,300 995 3,476
International E&P 895 963 1,181 1,103 4,142 1,372 2,004 909 4,285
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P 1,787 1,929 2,288 2,426 8,430 2,553 3,304 1,904 7,761
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream 385 68 88 147 688 110 108 169 387
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M 570 936 1,096 727 3,329 297 1,433 1,444 3,174
International R&M 130 174 294 246 844 93 275 20 388
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M 700 1,110 1,390 973 4,173 390 1,708 1,464 3,562
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment 110 148 267 189 714 249 387 487 1,123
Chemicals 133 63 13 114 323 149 103 142 394
Emerging Businesses (8) (8) - (5) (21) 8 (12) 11 7
Corporate and Other (195) (172) (246) (165) (778) (168) (412) (301) (881)
- ------------------------------------------------------------------------------------- --------------------------------------------
Consolidated 2,912 3,138 3,800 3,679 13,529 3,291 5,186 3,876 12,353
===================================================================================== ============================================
Page 1 of 12
CONOCOPHILLIPS
================================================================================
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
Millions of Dollars
-------------------------------------------------------------------------------------------
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Income from Continuing Operations
Before Income Taxes
U.S. E&P 1,388 1,504 1,728 2,019 6,639 1,853 2,062 1,598 5,513
International E&P 2,020 2,152 2,567 2,550 9,289 2,862 3,814 3,460 10,136
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P 3,408 3,656 4,295 4,569 15,928 4,715 5,876 5,058 15,649
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream 449 107 138 208 902 173 187 214 574
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M 901 1,485 1,766 1,379 5,531 512 2,260 2,282 5,054
International R&M 160 203 368 330 1,061 112 343 107 562
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M 1,061 1,688 2,134 1,709 6,592 624 2,603 2,389 5,616
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment 115 153 275 196 739 257 398 496 1,151
Chemicals 187 84 (3) 148 416 209 134 191 534
Emerging Businesses (13) (13) (2) (10) (38) 9 (20) 14 3
Corporate and Other (267) (243) (283) (199) (992) (190) (496) (425) (1,111)
- ------------------------------------------------------------------------------------- --------------------------------------------
Consolidated 4,940 5,432 6,554 6,621 23,547 5,797 8,682 7,937 22,416
===================================================================================== ============================================
Income from Continuing Operations
Effective Tax Rates
U.S. E&P 35.7% 35.8% 35.9% 34.4% 35.4% 36.3% 37.0% 37.7% 36.9%
International E&P 55.7% 55.3% 54.0% 56.7% 55.4% 52.1% 47.5% 73.7% 57.7%
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P 47.6% 47.2% 46.7% 46.8% 47.0% 45.9% 43.8% 62.4% 50.4%
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream 14.3% 36.4% 36.2% 29.3% 23.7% 36.4% 42.2% 21.0% 32.6%
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M 36.7% 37.0% 37.9% 41.6% 38.4% 42.0% 36.6% 36.7% 37.2%
International R&M 18.8% 14.3% 20.1% 23.9% 20.0% 17.0% 19.8% 81.3% 31.0%
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M 34.0% 34.2% 34.9% 38.2% 35.4% 37.5% 34.4% 38.7% 36.6%
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment 4.3% 3.3% 2.9% 3.6% 3.4% 3.1% 2.8% 1.8% 2.4%
Chemicals 28.9% 25.0% -- 23.0% 22.4% 28.7% 23.1% 25.7% 26.2%
Emerging Businesses 38.5% 38.5% -- 60.0% 47.4% 11.1% 40.0% 21.4% --
Corporate and Other 31.1% 26.3% 14.5% 24.6% 23.9% 11.6% 16.9% 29.2% 20.7%
- ------------------------------------------------------------------------------------- --------------------------------------------
Consolidated 40.8% 42.4% 42.0% 42.9% 42.1% 43.2% 40.3% 51.2% 44.9%
===================================================================================== ============================================
Page 2 of 12
CONOCOPHILLIPS
================================================================================
CERTAIN ITEMS INCLUDED IN INCOME FROM CONTINUING OPERATIONS (AFTER-TAX)
Millions of Dollars
-------------------------------------------------------------------------------------------
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
U.S. E&P
Gain (loss) on asset sales 90 - - - 90 - 15 - 15
Impairments - - - - - - (26) - (26)
Insurance premium adjustments - (5) (4) (8) (17) (2) - (5) (7)
Pending claims and settlements - 15 - (23) (8) - - 18 18
Business interruption insurance
claims recovery - - - - - - - 15 15
Enacted tax legislation - - - - - - 2 - 2
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 90 10 (4) (31) 65 (2) (9) 28 17
- ------------------------------------------------------------------------------------- --------------------------------------------
International E&P
Gain (loss) on asset sales - 15 - - 15 - 25 - 25
Insurance premium adjustments - (10) (12) (19) (41) (10) - (10) (20)
International tax law changes - - - 38 38 - 401 (270) 131
Impairments - - - - - - - (4) (4)
Business interruption insurance
claims recovery - - - - - - - 11 11
Pending claims and settlements - - - - - - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Total - 5 (12) 19 12 (10) 426 (273) 143
- ------------------------------------------------------------------------------------- --------------------------------------------
Total E&P 90 15 (16) (12) 77 (12) 417 (245) 160
- ------------------------------------------------------------------------------------- --------------------------------------------
Midstream
Impairments (6) (7) - - (13) - - - -
DEFS' sale of TEPPCO general partnership 306 - - - 306 - - 30 30
Enacted tax legislation - - - - - - (6) - (6)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 300 (7) - - 293 - (6) 30 24
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. R&M
Gain (loss) on asset sales 31 - - - 31 - - - -
Impairments - - - - - - - (35) (35)
Insurance premium adjustments - (7) (9) (14) (30) (6) - (7) (13)
Discontinuation of a marketing
incentive program - - (16) - (16) - - - -
Hurricanes impact on maintenance & repairs - - - (57) (57) - - - -
Business interruption insurance
claims recovery - - - - - - - 111 111
Pending claims and settlements - - - - - - - - -
Enacted tax legislation - - - - - - 34 - 34
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 31 (7) (25) (71) (72) (6) 34 69 97
- ------------------------------------------------------------------------------------- --------------------------------------------
International R&M
Gain (loss) on asset sales - 25 - - 25 - - - -
Impairments - - - - - - - (214) (214)
Insurance premium adjustments - - - - - (1) - (1) (2)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total - 25 - - 25 (1) - (215) (216)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total R&M 31 18 (25) (71) (47) (7) 34 (146) (119)
- ------------------------------------------------------------------------------------- --------------------------------------------
LUKOIL Investment
Ownership interest adjustment - - - - - - - 23 23
- ------------------------------------------------------------------------------------- --------------------------------------------
Total - - - - - - - 23 23
- ------------------------------------------------------------------------------------- --------------------------------------------
Chemicals
Business interruption insurance
claims recovery - - - - - - - 7 7
Enacted tax legislation - - - - - - (5) - (5)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total - - - - - - (5) 7 2
- ------------------------------------------------------------------------------------- --------------------------------------------
Emerging Businesses
Property write-down - - - - - - (14) - (14)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total - - - - - - (14) - (14)
- ------------------------------------------------------------------------------------- --------------------------------------------
Corporate and Other
Acquisition-related expenses - - - - - (5) (39) (32) (76)
Premium on early debt retirement (8) - (42) (42) (92) - - - -
Pending claims and settlements - - - - - (15) - - (15)
Canada tax law change - - - - - - (10) - (10)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total (8) - (42) (42) (92) (20) (49) (32) (101)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total Company 413 26 (83) (125) 231 (39) 377 (363) (25)
===================================================================================== ============================================
Page 3 of 12
CONOCOPHILLIPS
================================================================================
CASH FLOW INFORMATION
Millions of Dollars
-------------------------------------------------------------------------------------------
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Cash Flows from Operating Activities
Income from continuing operations 2,923 3,131 3,804 3,782 13,640 3,291 5,186 3,876 12,353
DD&A and property impairments 1,063 994 1,049 1,189 4,295 1,180 2,015 2,404 5,599
Dry hole costs and leasehold impairments 109 47 55 138 349 38 47 56 141
Accretion on discounted liabilities 48 41 46 58 193 60 73 74 207
Deferred income taxes 123 369 261 348 1,101 168 (390) 495 273
Undistributed equity earnings (805) (414) (463) (92) (1,774) (67) (687) (253) (1,007)
Net gain on asset dispositions (177) (65) (22) (14) (278) (3) (53) (8) (64)
Other (78) (113) 192 (140) (139) (203) 189 (282) (296)
Net working capital changes 888 (1,224) 1,177 (595) 246 336 (1,536) (127) (1,327)
Discontinued operations (5) 2 (3) 1 (5) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Net Cash Provided by
Operating Activities 4,089 2,768 6,096 4,675 17,628 4,800 4,844 6,235 15,879
- ------------------------------------------------------------------------------------- --------------------------------------------
Cash Flows from Investing Activities
Capital expenditures and investments*:
E&P (1,206) (2,337) (1,475) (1,666) (6,684) (2,206) (2,172) (2,454) (6,832)
Midstream (1) - (838) - (839) (1) (1) - (2)
R&M (275) (360) (440) (663) (1,738) (1,635) (475) (374) (2,484)
LUKOIL Investment (324) (384) (815) (637) (2,160) (612) (648) (702) (1,962)
Chemicals - - - - - - - - -
Emerging Businesses 4 (7) (2) - (5) (12) (28) (6) (46)
Corporate and Other (20) (37) (56) (81) (194) (48) (78) (61) (187)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total capital expend. & investments (1,822) (3,125) (3,626) (3,047) (11,620) (4,514) (3,402) (3,597) (11,513)
Acquisition of Burlington Resources Inc.* - - - - - (14,190) (94) (1) (14,285)
Proceeds from asset dispositions 87 221 300 160 768 5 68 173 246
Long-term advances to/collections from
affiliates and other investments 25 4 (58) (135) (164) (115) (151) (251) (517)
Discontinued operations - - - - - - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
Net Cash Used for Investing Activities (1,710) (2,900) (3,384) (3,022) (11,016) (18,814) (3,579) (3,676) (26,069)
- ------------------------------------------------------------------------------------- --------------------------------------------
Cash Flows from Financing Activities
Net issuance (repayment) of debt (986) (13) (513) (1,038) (2,550) 15,324 (2,756) (1,630) 10,938
Issuance of stock 155 108 114 25 402 40 64 41 145
Repurchase of stock (194) (382) (589) (759) (1,924) - (425) (250) (675)
Dividends (348) (432) (430) (429) (1,639) (496) (595) (593) (1,684)
Other 64 33 (10) (60) 27 (27) (20) (76) (123)
- ------------------------------------------------------------------------------------- --------------------------------------------
Net Cash Provided by (Used for)
Financing Activities (1,309) (686) (1,428) (2,261) (5,684) 14,841 (3,732) (2,508) 8,601
- ------------------------------------------------------------------------------------- --------------------------------------------
Effect of Exchange Rate Changes (36) (62) (22) 19 (101) (33) 113 (9) 71
- ------------------------------------------------------------------------------------- --------------------------------------------
Net Change in Cash
and Cash Equivalents 1,034 (880) 1,262 (589) 827 794 (2,354) 42 (1,518)
Cash and cash equivalents
at beginning of period 1,387 2,421 1,541 2,803 1,387 2,214 3,008 654 2,214
- ------------------------------------------------------------------------------------- --------------------------------------------
Cash and Cash Equivalents
at End of Period 2,421 1,541 2,803 2,214 2,214 3,008 654 696 696
===================================================================================== ============================================
* Net of cash acquired.
Page 4 of 12
CONOCOPHILLIPS
================================================================================
TOTAL E&P
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
E&P Net Income ($ Millions) 1,787 1,929 2,288 2,426 8,430 2,553 3,304 1,904 7,761
===================================================================================== ============================================
Production
Total, Including Equity Affiliates
and Canadian Syncrude (MBOE/D) 1,600 1,537 1,521 1,590 1,562 1,610 2,134 2,036 1,929
- ------------------------------------------------------------------------------------- --------------------------------------------
E&P segment plus LUKOIL Investment segment:1,801 1,760 1,787 1,883 1,808 1,932 2,537 2,472 2,317
- ------------------------------------------------------------------------------------- --------------------------------------------
Crude Oil and Condensate (MB/D)
Consolidated 822 780 766 777 786 777 924 865 855
Equity affiliates 120 123 124 116 121 126 121 104 117
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 942 903 890 893 907 903 1,045 969 972
===================================================================================== ============================================
Sales of crude oil produced (MB/D) 940 932 883 916 918 913 1,040 953 969
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids (MB/D) 94 80 92 99 91 97 152 146 132
- -----------------------------------------------------------------------------------------------------------------------------------
Natural Gas (MMCF/D)
Consolidated 3,295 3,191 3,099 3,468 3,263 3,554 5,498 5,379 4,818
Equity affiliates 5 7 10 3 7 11 10 8 9
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 3,300 3,198 3,109 3,471 3,270 3,565 5,508 5,387 4,827
===================================================================================== ============================================
Canadian Syncrude (MB/D) 14 21 21 20 19 16 19 23 20
- ------------------------------------------------------------------------------------- --------------------------------------------
Industry Prices (Platt's)
Crude Oil ($/bbl)
WTI spot 49.70 53.03 63.05 59.99 56.44 63.28 70.40 70.38 68.02
Brent dated 47.50 51.59 61.54 56.90 54.38 61.75 69.62 69.49 66.96
Natural Gas ($/mmbtu)
Henry Hub -- First of Month 6.27 6.74 8.53 13.00 8.64 9.01 6.80 6.58 7.47
- ------------------------------------------------------------------------------------- --------------------------------------------
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Consolidated 44.89 48.88 58.49 55.06 51.74 58.97 65.89 67.37 64.30
Equity affiliates 30.38 36.11 45.25 38.90 37.79 43.38 52.28 46.98 47.36
Total 43.15 46.93 56.64 53.05 49.87 56.63 64.34 65.04 62.18
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids ($/bbl) 33.44 35.10 41.54 42.75 38.32 43.13 41.75 43.62 42.78
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas ($/mcf)
Consolidated 5.24 5.53 6.40 7.96 6.32 7.26 5.86 5.92 6.22
Equity affiliates 0.25 0.32 0.20 0.28 0.26 0.23 0.36 0.32 0.30
Total 5.24 5.52 6.38 7.94 6.30 7.24 5.85 5.91 6.21
- ------------------------------------------------------------------------------------- --------------------------------------------
Exploration Charges ($ Millions)
Dry Holes 88 30 32 83 233 19 15 18 52
Lease Impairments 20 18 23 55 116 19 33 37 89
- ------------------------------------------------------------------------------------- --------------------------------------------
Total Non-Cash Charges 108 48 55 138 349 38 48 55 141
Other (G&G and Lease Rentals) 63 73 85 91 312 74 86 142 302
- ------------------------------------------------------------------------------------- --------------------------------------------
Total Exploration Charges 171 121 140 229 661 112 134 197 443
===================================================================================== ============================================
Depreciation, Depletion and
Amortization (DD&A) ($ Millions) 819 755 823 915 3,312 910 1,659 1,860 4,429
- ------------------------------------------------------------------------------------- --------------------------------------------
Page 5 of 12
CONOCOPHILLIPS
================================================================================
U.S. E&P
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
U.S. E&P Net Income ($ Millions) 892 966 1,107 1,323 4,288 1,181 1,300 995 3,476
===================================================================================== ============================================
Alaska ($ Millions) 532 572 730 718 2,552 692 760 425 1,877
- ------------------------------------------------------------------------------------- --------------------------------------------
Lower 48 ($ Millions) 360 394 377 605 1,736 489 540 570 1,599
- ------------------------------------------------------------------------------------- --------------------------------------------
Production
Total U.S. (MBOE/D) 648 631 617 636 633 636 894 846 793
- ------------------------------------------------------------------------------------- --------------------------------------------
Crude Oil and Condensate (MB/D)
Alaska 309 297 281 291 294 283 279 234 265
Lower 48 62 63 56 54 59 64 120 119 101
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 371 360 337 345 353 347 399 353 366
===================================================================================== ============================================
Sales of crude oil produced (MB/D) 386 352 352 337 357 363 398 355 372
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids (MB/D)*
Alaska 24 16 18 21 20 22 20 11 18
Lower 48 27 31 30 31 30 29 70 75 58
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 51 47 48 52 50 51 90 86 76
===================================================================================== ============================================
*Includes reinjection volumes sold
lease-to-lease: 13 1 8 13 9 14 14 7 11
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas (MMCF/D)
Alaska 185 148 173 172 169 163 163 123 150
Lower 48 1,169 1,195 1,218 1,264 1,212 1,264 2,265 2,320 1,953
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 1,354 1,343 1,391 1,436 1,381 1,427 2,428 2,443 2,103
===================================================================================== ============================================
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Alaska
North Slope 38.93 43.92 53.30 52.34 46.95 52.92 59.89 62.85 58.43
- ------------------------------------------------------------------------------------- --------------------------------------------
West Coast 44.15 49.22 58.70 57.61 52.24 58.87 66.02 69.66 64.48
- ------------------------------------------------------------------------------------- --------------------------------------------
Lower 48 41.29 43.58 50.00 46.62 45.24 52.21 59.63 62.45 59.21
- ------------------------------------------------------------------------------------- --------------------------------------------
Total U.S. 43.69 48.21 57.31 55.86 51.09 57.70 64.09 67.25 63.05
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids ($/bbl)
Alaska 44.33 49.20 57.11 57.58 51.30 58.88 65.25 67.12 62.77
- ------------------------------------------------------------------------------------- --------------------------------------------
Lower 48 30.96 31.22 39.92 42.89 36.43 38.20 38.29 41.34 39.60
- ------------------------------------------------------------------------------------- --------------------------------------------
Total U.S. 34.68 37.26 43.95 45.94 40.40 43.00 40.45 42.68 41.86
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas ($/mcf)
Alaska 2.96 2.49 2.57 3.01 2.75 3.58 3.42 3.36 3.47
- ------------------------------------------------------------------------------------- --------------------------------------------
Lower 48 5.66 6.20 7.67 9.37 7.28 7.50 5.81 6.00 6.25
- ------------------------------------------------------------------------------------- --------------------------------------------
Total U.S. 5.57 6.07 7.48 9.17 7.12 7.42 5.78 5.98 6.21
- ------------------------------------------------------------------------------------- --------------------------------------------
Kenai, Alaska LNG Sales
Volume (MMCF/D) 132 96 123 118 117 128 126 110 122
- ------------------------------------------------------------------------------------- --------------------------------------------
Sales price per MCF 5.27 5.24 5.90 6.36 5.71 6.45 5.16 6.16 5.91
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. Exploration Charges ($ Millions)
Dry Holes 74 8 (2) 3 83 8 3 8 19
Lease Impairments 10 9 9 10 38 8 15 13 36
- ------------------------------------------------------------------------------------- --------------------------------------------
Total Non-Cash Charges 84 17 7 13 121 16 18 21 55
Other (G&G and Lease Rentals) 12 17 19 7 55 14 1 66 81
- ------------------------------------------------------------------------------------- --------------------------------------------
Total U.S. Exploration Charges 96 34 26 20 176 30 19 87 136
===================================================================================== ============================================
Alaska Only 85 13 11 1 110 18 (7) 50 61
- ------------------------------------------------------------------------------------- --------------------------------------------
DD&A ($ Millions)
Alaska 133 134 126 142 535 132 135 137 404
Lower 48 219 172 243 231 865 251 634 784 1,669
- ------------------------------------------------------------------------------------- --------------------------------------------
Total U.S. 352 306 369 373 1,400 383 769 921 2,073
===================================================================================== ============================================
Page 6 of 12
CONOCOPHILLIPS
================================================================================
INTERNATIONAL E&P
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
International E&P
Net Income ($ Millions) 895 963 1,181 1,103 4,142 1,372 2,004 909 4,285
===================================================================================== ============================================
Production
Total, Including Equity Affiliates
and Canadian Syncrude (MBOE/D) 952 906 904 954 929 974 1,240 1,190 1,136
- ------------------------------------------------------------------------------------- --------------------------------------------
Crude Oil and Condensate (MB/D)
Consolidated
Norway 207 195 198 188 197 188 192 190 190
United Kingdom 61 60 56 62 60 62 57 50 56
Canada 23 23 22 22 23 22 27 26 25
China 22 25 22 23 23 25 34 36 32
Indonesia 21 16 10 13 15 14 14 11 13
Vietnam 27 26 30 37 29 31 22 24 25
Timor Sea 36 21 38 36 33 39 39 40 39
Libya - - - - - - 74 71 49
Other 54 54 53 51 53 49 66 64 60
Equity affiliates 120 123 124 116 121 126 121 104 117
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 571 543 553 548 554 556 646 616 606
===================================================================================== ============================================
Sales of crude oil produced (MB/D) 554 580 531 579 561 550 642 598 597
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids (MB/D)
Norway 10 9 10 11 9 11 8 9 9
Canada 10 10 10 10 10 9 30 28 23
Timor Sea 17 9 20 19 16 20 20 20 20
Other 6 5 4 7 6 6 4 3 4
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 43 33 44 47 41 46 62 60 56
===================================================================================== ============================================
Natural Gas (MMCF/D)
Consolidated
Norway 298 268 259 264 272 269 260 260 263
United Kingdom 824 741 588 851 751 851 796 665 770
Canada 417 422 429 430 425 424 1,204 1,154 930
China - - - - - - 10 8 6
Timor Sea 35 35 35 33 34 144 251 300 232
Indonesia 273 287 303 330 298 294 323 342 320
Vietnam 18 14 20 19 18 24 19 20 21
Other 76 81 74 105 84 121 207 187 173
Equity affiliates 5 7 10 3 7 11 10 8 9
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 1,946 1,855 1,718 2,035 1,889 2,138 3,080 2,944 2,724
===================================================================================== ============================================
Canadian Syncrude (MB/D) 14 21 21 20 19 16 19 23 20
- ------------------------------------------------------------------------------------- --------------------------------------------
Darwin, Australia LNG Sales (MMCF/D) - - - - - 136 305 411 285
- ------------------------------------------------------------------------------------- --------------------------------------------
Page 7 of 12
CONOCOPHILLIPS
================================================================================
INTERNATIONAL E&P (continued)
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Consolidated
Norway 45.52 50.21 60.42 56.36 53.18 61.36 68.64 68.48 66.11
United Kingdom 49.47 48.02 60.83 54.87 53.13 59.13 65.32 64.67 63.61
Canada 36.96 41.09 54.74 46.44 44.70 44.28 60.86 61.00 56.03
China 41.51 46.95 51.89 49.86 47.85 57.90 66.68 64.68 63.70
Indonesia 46.51 47.57 61.77 47.00 49.45 57.94 58.15 62.69 59.34
Vietnam 47.77 53.32 58.52 52.77 53.23 62.34 68.53 71.35 67.00
Timor Sea 47.99 50.90 59.03 52.90 52.95 60.37 66.98 66.84 64.69
Libya - - - - - - 68.07 67.75 67.90
Other 44.56 50.11 60.99 57.03 52.93 62.95 69.20 70.39 67.80
Equity affiliates 30.38 36.11 45.25 38.90 37.79 43.38 52.28 46.98 47.36
Total 42.77 46.16 56.19 51.41 49.09 55.92 64.50 63.73 61.63
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids ($/bbl)
Norway 30.63 28.20 37.29 33.81 32.45 42.55 40.99 43.91 42.39
Canada 37.37 37.66 44.22 49.63 42.20 46.21 46.73 46.16 46.42
Timor Sea 34.40 35.99 40.45 47.29 40.11 46.68 41.35 45.63 44.45
Other 21.34 22.30 26.63 20.30 22.17 27.16 33.82 26.79 29.59
Total 32.35 32.03 39.29 40.04 36.25 43.25 43.28 44.89 43.84
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas ($/mcf)
Consolidated
Norway 5.03 5.30 5.13 6.40 5.46 7.28 7.09 7.48 7.28
United Kingdom 5.54 5.01 4.92 7.64 5.89 8.81 6.84 7.08 7.63
Canada 5.33 6.14 7.54 9.86 7.25 6.28 5.47 5.43 5.57
China - - - - - - 1.90 4.11 2.91
Timor Sea 0.52 0.52 0.56 0.61 0.55 0.67 0.65 0.69 0.67
Indonesia 5.08 5.96 6.73 6.23 6.03 7.45 7.53 6.71 7.21
Vietnam 1.04 1.04 1.05 1.07 1.05 1.07 1.07 1.07 1.07
Other 0.70 0.59 0.66 0.72 0.67 0.82 2.57 2.04 1.97
Equity affiliates 0.25 0.32 0.20 0.28 0.26 0.23 0.36 0.32 0.30
Total 5.03 5.15 5.57 7.16 5.76 7.13 5.90 5.85 6.21
- ------------------------------------------------------------------------------------- --------------------------------------------
International Exploration Charges ($ Millions)
Dry Holes 14 22 34 80 150 11 12 10 33
Lease Impairments 10 9 14 45 78 11 18 24 53
- ------------------------------------------------------------------------------------- --------------------------------------------
Total Non-Cash Charges 24 31 48 125 228 22 30 34 86
Other (G&G and Lease Rentals) 51 56 66 84 257 60 85 76 221
- ------------------------------------------------------------------------------------- --------------------------------------------
Total International Exploration Charges 75 87 114 209 485 82 115 110 307
===================================================================================== ============================================
DD&A ($ Millions) 467 449 454 542 1,912 527 890 939 2,356
- ------------------------------------------------------------------------------------- --------------------------------------------
Page 8 of 12
CONOCOPHILLIPS
================================================================================
R&M
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
R&M Net Income ($ Millions) 700 1,110 1,390 973 4,173 390 1,708 1,464 3,562
===================================================================================== ============================================
United States ($ Millions) 570 936 1,096 727 3,329 297 1,433 1,444 3,174
- ------------------------------------------------------------------------------------- --------------------------------------------
International ($ Millions) 130 174 294 246 844 93 275 20 388
- ------------------------------------------------------------------------------------- --------------------------------------------
Market Indicators
U.S. East Coast Crack Spread ($/bbl) 6.40 8.80 14.81 9.32 9.83 7.52 15.21 10.54 11.09
U.S. Gulf Coast Crack Spread ($/bbl) 6.37 9.63 17.42 10.27 10.92 8.28 17.26 11.00 12.18
U.S. Group Central Crack Spread ($/bbl) 7.92 11.51 17.06 11.93 12.10 9.81 19.60 17.75 15.72
U.S. West Coast Crack Spread ($/bbl) 19.61 22.20 26.61 16.29 21.18 18.87 32.47 21.70 24.35
U.S. Weighted 3:2:1 Crack Spread ($/bbl) 9.24 12.35 18.51 11.69 12.95 10.56 20.39 14.86 15.27
NW Europe Crack Spread ($/bbl) 11.14 15.09 16.53 13.68 14.11 10.18 15.20 14.18 13.19
Singapore 3:1:2 Crack Spread ($/bbl) 13.23 13.95 16.70 12.43 14.08 10.58 19.30 15.13 15.00
U.S. Wholesale Gasoline Mktg Mrgn ($/bbl) 0.16 2.05 0.70 2.63 1.38 0.71 1.83 5.75 2.76
- ------------------------------------------------------------------------------------- --------------------------------------------
Realized Margins
Refining Margin ($/bbl)
U.S. 10.11 11.23 14.61 12.71 12.17 10.18 17.23 14.10 13.98
International 8.43 8.89 11.19 8.95 9.38 5.30 7.64 6.46 6.59
- ------------------------------------------------------------------------------------- --------------------------------------------
Marketing Margin ($/bbl)
U.S. 0.46 2.01 0.18 2.52 1.28 0.12 0.48 2.81 1.16
International 5.61 8.56 6.80 8.62 7.43 6.07 6.67 11.17 8.00
- ------------------------------------------------------------------------------------- --------------------------------------------
DD&A ($ Millions) 194 197 197 230 818 239 253 246 738
- ------------------------------------------------------------------------------------- --------------------------------------------
Turnaround Expense ($ Millions) 108 106 53 86 353 163 115 42 320
- ------------------------------------------------------------------------------------- --------------------------------------------
Eastern U.S.
Crude Oil Charge Input (MB/D) 403 414 409 416 410 354 281 377 337
Total Charge Input (MB/D) 449 454 456 446 451 359 309 418 362
Crude Oil Capacity Utilization (%) 95% 98% 97% 98% 97% 84% 66% 89% 80%
Clean Product Yield (%) 92% 88% 89% 91% 90% 90% 87% 88% 88%
- ------------------------------------------------------------------------------------- --------------------------------------------
U.S. Gulf Coast
Crude Oil Charge Input (MB/D) 659 715 596 397 591 529 681 730 647
Total Charge Input (MB/D) 733 835 674 467 676 587 777 822 730
Crude Oil Capacity Utilization (%) 92% 100% 83% 55% 83% 72% 93% 100% 88%
Clean Product Yield (%) 73% 79% 80% 80% 78% 74% 81% 83% 80%
- ------------------------------------------------------------------------------------- --------------------------------------------
Central U.S.
Crude Oil Charge Input (MB/D) 538 594 620 619 594 571 619 600 597
Total Charge Input (MB/D) 577 625 653 666 630 613 663 638 638
Crude Oil Capacity Utilization (%) 84% 93% 97% 97% 93% 89% 97% 94% 93%
Clean Product Yield (%) 86% 84% 85% 85% 85% 84% 86% 85% 85%
- ------------------------------------------------------------------------------------- --------------------------------------------
Western U.S.
Crude Oil Charge Input (MB/D) 357 410 415 421 401 386 419 420 409
Total Charge Input (MB/D) 382 431 439 445 425 419 443 446 436
Crude Oil Capacity Utilization (%) 90% 101% 102% 104% 100% 94% 101% 102% 99%
Clean Product Yield (%) 80% 82% 79% 79% 80% 79% 81% 80% 80%
- ------------------------------------------------------------------------------------- --------------------------------------------
TOTAL UNITED STATES
Crude Oil Charge Input (MB/D) 1,957 2,133 2,040 1,853 1,996 1,840 2,000 2,127 1,990
Total Charge Input (MB/D) 2,141 2,345 2,222 2,024 2,182 1,978 2,192 2,324 2,166
Crude Oil Capacity Utilization (%) 90% 98% 93% 85% 92% 83% 91% 96% 90%
Clean Product Yield (%) 82% 83% 83% 84% 83% 81% 83% 84% 83%
- ------------------------------------------------------------------------------------- --------------------------------------------
Refined Products Production (MB/D)
Gasoline 968 1,071 1,030 949 1,004 890 1,031 1,084 1,002
Distillates 599 655 640 583 619 538 601 655 598
Aviation Fuel 166 174 153 135 157 146 163 166 158
Other 414 449 400 370 406 414 403 429 415
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 2,147 2,349 2,223 2,037 2,186 1,988 2,198 2,334 2,173
===================================================================================== ============================================
Petroleum Products Sales (MB/D)
Gasoline 1,302 1,426 1,397 1,368 1,374 1,258 1,300 1,369 1,309
Distillates 642 680 725 653 675 626 620 668 638
Aviation Fuel 198 214 203 189 201 187 200 180 189
Other 461 566 526 521 519 517 555 519 530
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 2,603 2,886 2,851 2,731 2,769 2,588 2,675 2,736 2,666
===================================================================================== ============================================
Page 9 of 12
CONOCOPHILLIPS
================================================================================
R&M (continued)
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
International - Consolidated*
Crude Oil Charge Input (MB/D) 294 259 289 291 283 357 505 474 446
Total Charge Input (MB/D) 307 266 305 310 297 369 550 503 474
Crude Oil Capacity Utilization (%) 101% 89% 99% 100% 97% 94% 92% 86% 90%
Clean Product Yield (%) 79% 76% 82% 82% 80% 71% 64% 69% 68%
- ------------------------------------------------------------------------------------- --------------------------------------------
International - Equity Affiliates - Net Share**
Crude Oil Charge Input (MB/D) 134 143 142 144 141 133 144 143 140
Total Charge Input (MB/D) 137 147 145 145 144 137 149 149 145
Crude Oil Capacity Utilization (%) 98% 105% 105% 106% 103% 94% 102% 102% 99%
Clean Product Yield (%) 83% 82% 80% 83% 82% 82% 82% 81% 82%
- ------------------------------------------------------------------------------------- --------------------------------------------
TOTAL INTERNATIONAL
Crude Oil Charge Input (MB/D) 428 402 431 435 424 490 649 617 586
Total Charge Input (MB/D) 444 413 450 455 441 506 699 652 619
Crude Oil Capacity Utilization (%) 100% 94% 101% 102% 99% 94% 94% 89% 92%
Clean Product Yield (%) 80% 78% 81% 82% 80% 74% 68% 72% 71%
- ------------------------------------------------------------------------------------- --------------------------------------------
Refined Products Production (MB/D)
Gasoline 141 115 143 152 138 142 165 165 157
Distillates 186 178 191 191 186 215 284 271 257
Aviation Fuel 21 21 24 24 22 13 13 17 14
Other 95 96 90 91 93 130 233 190 185
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 443 410 448 458 439 500 695 643 613
===================================================================================== ============================================
Petroleum Products Sales (MB/D)
Gasoline 185 176 178 175 178 197 225 204 209
Distillates 221 212 216 224 218 319 379 352 350
Aviation Fuel 7 10 12 8 9 20 18 22 20
Other 82 79 64 83 77 159 249 171 193
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 495 477 470 490 482 695 871 749 772
===================================================================================== ============================================
Worldwide - Including Net Share of Equity Affiliates
Crude Oil Charge Input (MB/D) 2,385 2,535 2,471 2,288 2,420 2,330 2,649 2,744 2,576
Total Charge Input (MB/D) 2,585 2,758 2,672 2,479 2,623 2,484 2,891 2,976 2,785
Crude Oil Capacity Utilization (%) 92% 97% 95% 88% 93% 85% 91% 95% 91%
Clean Product Yield (%) 82% 82% 83% 84% 82% 79% 80% 81% 80%
- ------------------------------------------------------------------------------------- --------------------------------------------
Refined Products Production (MB/D)
Gasoline 1,109 1,186 1,173 1,101 1,142 1,032 1,196 1,249 1,159
Distillates 785 833 831 774 805 753 885 926 855
Aviation Fuel 187 195 177 159 179 159 176 183 172
Other 509 545 490 461 499 544 636 619 600
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 2,590 2,759 2,671 2,495 2,625 2,488 2,893 2,977 2,786
===================================================================================== ============================================
Petroleum Products Sales (MB/D)
Gasoline 1,487 1,602 1,575 1,543 1,552 1,455 1,525 1,573 1,518
Distillates 863 892 941 877 893 945 999 1,020 988
Aviation Fuel 205 224 215 197 210 207 218 202 209
Other 543 645 590 604 596 676 804 690 723
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 3,098 3,363 3,321 3,221 3,251 3,283 3,546 3,485 3,438
===================================================================================== ============================================
* Represents our Humber refinery in the United Kingdom, the Whitegate
refinery in Ireland, and, effective March 1, 2006, our Wilhelmshaven
refinery in Germany.
** Represents 18.75 percent interest in a refinery complex in Karlsruhe,
Germany; 16.33 percent interest in two refineries in Kralupy and Litvinov,
Czech Republic; and 47 percent interest in a refinery in Melaka, Malaysia.
Page 10 of 12
CONOCOPHILLIPS
================================================================================
LUKOIL INVESTMENT
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
LUKOIL Investment
Net Income ($ Millions) 110 148 267 189 714 249 387 487 1,123
===================================================================================== ============================================
Upstream
Production*
Net crude oil production (MB/D) 190 215 253 281 235 306 346 388 347
Net natural gas production (MMCF/D) 67 50 79 72 67 98 343 288 244
BOE Total (MBOE/D) 201 223 266 293 246 322 403 436 388
- -----------------------------------------------------------------------------------------------------------------------------------
* Represents our estimated net share of LUKOIL's production.
Industry Prices
Crude Oil ($/bbl)
Urals crude (CIF Mediterranean) 43.21 48.49 57.39 54.07 50.87 58.25 64.85 65.81 62.97
- ------------------------------------------------------------------------------------- --------------------------------------------
Downstream
Refinery Throughput*
Crude Processed (MB/D) 92 101 138 156 122 163 168 164 165
- ------------------------------------------------------------------------------------- --------------------------------------------
* Represents our estimated net share of LUKOIL's crude processed.
MIDSTREAM
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Midstream Net Income ($ Millions) 385 68 88 147 688 110 108 169 387
===================================================================================== ============================================
U.S. Equity Affiliate ($ Millions)* 359 51 76 105 591 93 91 128 312
- ------------------------------------------------------------------------------------- --------------------------------------------
Natural Gas Liquids Extracted (MB/D)
Consolidated
United States 23 21 23 22 22 23 22 23 23
International 53 44 5 - 25 - - - -
Equity Affiliates
United States* 110 112 171 172 142 178 183 180 180
International 6 6 6 6 6 6 6 7 6
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 192 183 205 200 195 207 211 210 209
===================================================================================== ============================================
* Represents 30.3 percent interest in Duke Energy Field Services, LLC (DEFS),
through June 30, 2005, and 50 percent interest beginning in July 2005.
Natural Gas Liquids Fractionated (MB/D)
United States* 149 131 123 127 132 141 125 124 130
International 64 55 15 10 36 11 14 14 13
- ------------------------------------------------------------------------------------- --------------------------------------------
Total 213 186 138 137 168 152 139 138 143
===================================================================================== ============================================
* Excludes DEFS.
Product Prices
Weighted Average NGL ($/bbl)*
Consolidated 31.95 32.49 39.60 42.70 36.68 37.64 41.73 44.10 41.16
DEFS 30.61 31.33 38.31 41.84 35.52 37.29 41.18 43.00 40.49
- ------------------------------------------------------------------------------------- --------------------------------------------
* Prices are based on index prices from the Mont Belvieu and Conway market
hubs that are weighted by natural gas liquids component and location mix.
DD&A ($ Millions) 9 8 7 8 32 7 8 7 22
- ------------------------------------------------------------------------------------- --------------------------------------------
Page 11 of 12
CONOCOPHILLIPS
================================================================================
CHEMICALS
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Chemicals
Net Income (Loss) ($ Millions) 133 63 13 114 323 149 103 142 394
===================================================================================== ============================================
Industry Margins (Cents/Lb)*
Ethylene industry cash margin 18.1 12.8 8.8 21.1 15.2 20.5 14.3 17.0 17.3
HDPE industry contract sales margin 12.1 12.0 8.2 12.9 11.3 15.9 14.0 13.9 14.6
Styrene industry contract sales margin 13.9 13.6 12.4 12.3 13.1 12.5 11.9 11.3 11.9
- ------------------------------------------------------------------------------------- --------------------------------------------
* Prices, economics and views expressed by CMAI are strictly the opinion of
CMAI and Purvin & Gertz and are based on information collected within the
public sector and on assessments by CMAI and Purvin & Gertz staff utilizing
reasonable care consistent with normal industry practice. CMAI and Purvin &
Gertz make no guarantee or warranty and assume no liability as to their
use.
EMERGING BUSINESSES
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Emerging Businesses
Net Income (Loss) ($ Millions) (8) (8) - (5) (21) 8 (12) 11 7
===================================================================================== ============================================
Detail of Net Income (Loss) ($ Millions)
Technology Solutions (2) (4) (5) (5) (16) (12) (4) (3) (19)
Gas-to-Liquids (7) (7) (4) (5) (23) (4) (3) (4) (11)
Power 2 9 17 15 43 31 3 26 60
Other (1) (6) (8) (10) (25) (7) (8) (8) (23)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total (8) (8) - (5) (21) 8 (12) 11 7
===================================================================================== ============================================
CORPORATE AND OTHER
2005 2006
--------------------------------------------- --------------------------------------------
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
--------------------------------------------- --------------------------------------------
Corporate and Other
Net Income (Loss) ($ Millions) (195) (172) (246) (165) (778) (168) (412) (301) (881)
===================================================================================== ============================================
Detail of Net Income (Loss) ($ Millions)
Net interest expense * (106) (90) (139) (132) (467) (93) (267) (242) (602)
Corporate overhead (58) (46) (64) (15) (183) (26) (39) (35) (100)
Discontinued operations (11) 7 (4) (15) (23) - - - -
Acquisition-related expenses - - - - - (5) (39) (32) (76)
Accounting change - - - - - - - - -
Other * (20) (43) (39) (3) (105) (44) (67) 8 (103)
- ------------------------------------------------------------------------------------- --------------------------------------------
Total (195) (172) (246) (165) (778) (168) (412) (301) (881)
===================================================================================== ============================================
* Amounts in periods prior to 3rd Quarter 2006 have been reclassified to conform to current period presentation.
Before-Tax Net Interest Expense ($ Millions)
Interest expense (226) (219) (223) (224) (892) (226) (468) (417) (1,111)
Capitalized interest 88 91 102 114 395 111 107 110 328
Interest revenue 25 24 28 36 113 30 35 38 103
Receivables monetization related (1) - - - (1) - - - -
Premium on early debt retirement (9) - (50) (51) (110) - - - -
- ------------------------------------------------------------------------------------- --------------------------------------------
(123) (104) (143) (125) (495) (85) (326) (269) (680)
===================================================================================== ============================================
Debt
Total Debt ($ Millions) 14,012 14,013 13,497 12,516 12,516 32,193 29,510 27,807 27,807
Debt-to-Capital Ratio 23% 22% 21% 19% 19% 30% 27% 25% 25%
- ------------------------------------------------------------------------------------- --------------------------------------------
Page 12 of 12